Employment Law – Changes Announced in The King’s Speech

The Labour party’s general election manifesto, published on 13 June 2024, made a commitment to introduce legislation within 100 days of coming into power  to implement proposals for employment rights as set out in  Labour’s Plan to Make Work Pay: Delivering A New Deal for Working People.

In his speech, the King announced the Government’s legislative programme which experts say will represent a ‘seismic shift’ for workers and businesses.

Changes – What To Expect

The Employment Rights Bill, is expected to include provisions to:

  • ban ‘exploitative’ zero-hour contracts,
  • end the practice of ‘fire and rehire’
  • make parental leave, sick pay and protection from unfair dismissal a ‘day one’ right
  • strengthen statutory sick pay,
  • make flexible working the default from day one for all workers
  • strengthen protections for new mothers,
  • reform the apprenticeship levy
  • introduce a draft Equality (Race and Disability) Bill to “enshrine full right to equal pay in law
  • strengthen pension investment through the introduction of a pension schemes bill
  • establish a new Single Enforcement Body to strengthen enforcement of workplace rights
  • update trade union legislation,
  • simplify the process of statutory recognition

Changes – Likely Impact

Industry experts have welcomed the promise to work in partnership with both businesses and working people to deliver the changes and a pledge to “get people back in employment following the impact of the pandemic”.  According to Caspar Glyn KC, chair of the Employment Lawyers’ Association, Labour’s pledges will bring about the greatest changes in employment law in more than a generation,”

However, the aim to improve the daily lives of workers and help businesses, will require consultation with employers while ensuring changes offer more benefit for workers, than harm.

Changes – What It Really Means 

The promise to introduce the bill within the first 100 days means that Labour has set itself a deadline of 12 October 2024.

Time will tell how realistic this is but bearing in mind that a Bill needs to go through both houses of parliament, which can take several months, before it can become law, we are unlikely to see measures come to fruition anytime soon.

We are nevertheless assured of significant changes which both businesses and individuals need to brace themselves for.

Asif Timol, Employment Solicitor at Fairmont Legal believes the changes are needed and long overdue. However, with the Employment Tribunal system already severely backlogged “collaboration and planning will need to be prioritised over rushed laws”.

It remains to be seen how Mr Starmer proposes to deliver on his promise of “a bigger reset” for the country.

We will keep you updated as we learn more about the government’s implementation of employment law reforms

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